INTERPIPE STEEL Opening - For the Workers, the City, and Society

DNEPROPETROVSK, Ukraine, October 5, 2012 /PRNewswire/ --

October 4, in Dnepropetrovsk the electric steel melting complex Interpipe Steel - the first metallurgical plant built from scratch since Ukraine became independent, was opened. President of Ukraine Victor Yanukovich participated in the opening ceremony.

INTERPIPE STEEL is the largest single private investment since Ukraine became independent. The mill combines innovative steel melting technologies from one of the top three metallurgical equipment producers, Italian Danieli, and works on the basis of international best practices in steel production. This combination creates a new metallurgical production philosophy for the 21st century - a new step for the steel industry.

This steel mill's state-of-the-art equipment and green technology enable Interpipe to replace outdated open hearth steel production. This will reduce energy consumption per tonne of steel by 2,2 times, decrease emissions by 2,5 times, and shorten the consumption of natural gas by 60 million cubic meters. The mill will create 700 new jobs.

The launch of INTERPIPE STEEL will become a new reference point in the cultural history of Ukraine and the city of Dnipropetrovsk. Along with the mill, the city will get a new symbol - Olafur Eliasson's art project "Dnipropetrovsk Sunrise". It consists of five large scale masterpieces, conceived by the artist specifically as permanent installation and integral part of the mill. Dnipropetrovsk Sunrise is a metaphor of the industrial renaissance of Ukraine.

"When we thought about the construction of a new mill, we had a dream - to create the most up-to-date metallurgical production in Ukraine," Victor Pinchuk, the founder of Interpipe, comments. "But in the course of our work we realized that we are able to do more. And we have created a mill, combining innovative technologies and production culture with contemporary art. This mill is the first and only one of its kind, built for the workers, the city, and society. And for me, the mill is also a tribute of honor to generations of Ukrainian metallurgists."

"Metallurgy is one of the basic industries of the Ukrainian economy. But ask yourself: where do today's graduates want to work? They still dream of being lawyers or bankers but not engineers," Alexander Kirichko, Interpipe CEO, says. "I'm sure we have created a mill where specialists with university-degree, who are ready to build the metallurgy of the next generation, would like to work. The mill is modern and dynamic, just like our employees. Our next objective is to have a line of young and highly educated people at all mills of our company."

The new mill is open for visitors. With guided tours, guests can familiarize themselves with the innovative steel melting technologies and enjoy the world class masterpieces of contemporary art. Find all details regarding the tours at the website http://www.interpipe.biz

Interpipe Steel is the first metallurgical plant, built in Ukraine from scratch for the last 40 years. Considering its level of technology, labor conditions, and environmental protection standards, it obviously represents a new phase in the development of theindustry . The total volume of investments has amounted to 700 million US dollars.

INTERPIPE STEEL is a key investment project for Interpipe that will provide steel and pipe production with its own billets. When the mill reaches its designed capacity rate in 2014, the self-sufficiency in billets for INTERPIPE seamless pipes' production will rise to 90 %. The production capacity of the new mill will be 1.320 million tons a year, making it the largest enterprise of this kind in Eastern Europe.

The average age of the new mill employees is 31 years. Approximately 76% of INTERPIPE STEEL employees have a university degree. For some professions there were 10 applicants per job. More than a half of the employees have undergone additional training abroad.

The launch of the new electric steel melting complex will also allow the Company to give up the obsolete open-hearth furnace method of steel production. This will reduce power inputs per ton of steel by more than two times and will cut down the emissions of polluting substances into the environment by 2.5 times. In addition to that, INTERPIPE Company will cut down its natural gas consumption by 60 million cubic meters.